B U I L D I N G S U S T A I N A B L E S H A R E H O L D E R V A L U E

Q4’16

B U S I N E S S O V E R V I E W

SUN LIFE FINANCIAL IN 2016

A $32 billion(1) leading, international financial services provider… operating through a balanced and diversified model… focused on creating shareholder value now and in the future

(1) Market capitalization (C$), as of December 31, 2016 3

THE SUN LIFE STORY: AMBITIOUS AND ACHIEVABLE

1 We have four strong pillars that can each compete, win and grow in their respective sectors and which leverage each other

2 Bound together by a strong balance sheet and risk culture, including no direct U.S. Variable Annuity or Long-Term Care

3 Underpinned by a strong performance culture that is humble, but ambitious; driven by results, but not yet satisfied

4 Led by a proven management team that can execute on growth with disciplined capital allocation

5 Galvanized by a new objective – to become one of the best insurance and asset managers in the world through a step-change around Clients

6 Building on momentum created by past organic investments and acquisitions that will help drive earnings growth

7 With the objective of generating 8-10% average annual underlying EPS growth and a 12-14% underlying ROE, while maintaining a strong dividend payout ratio

4

SETTING A BOLD NEW OBJECTIVE

Our ambition is to be ONE OF THE BEST insurance and asset management companies globally

Each pillar viewed as one of the best

in its markets

Disproportionate Share of Top

Talent

Top Quartile Client Experience Top Quartile TSR

5

CLIENT FOR LIFE: A STEP

THIS WILL FEEL DIFFERENT

From: To: Customers Clients

Product sale Advice and solutions

One-time interaction A lifetime relationship

Reactive Proactive: Sun Life has my back

Insurance jargon Language that people understand

Complex paper driven processes Simplified digital process

Relationship with Clients will change Relationship with Advisors will change Innovation and adoption, test and learn New key performance indicators, communications,

incentives, investments – in short, everything changes

6

MEDIUM-TERM FINANCIAL OBJECTIVES1 EPS growth: 8-10% -- ROE: 12-14% -- Dividend payout ratio: 40-50%

1 The objectives are forward-looking non-IFRS financial measures based on underlying earnings and are not earnings guidance.

A Leader in Insurance and Wealth Solutions in our Canadian home market

A Leader in U.S. Group Benefits and International high net worth solutions

A Leader in global Asset Management

A Leader in Asia through Distribution Excellence in Higher Growth Markets

Digital Data & Analytics

Talent & Culture

Financial Discipline

CLIENT

AMBITION TO BE “ONE OF THE BEST” INSURANCE AND ASSET MANAGEMENT COMPANIES IN THE WORLD

A growth strategy focused on high ROE and strong capital generation through leading positions in attractive markets globally

7

KEY DRIVERS SUPPORT MEDIUM-TERM EPS OBJECTIVES

1 The objectives are forward-looking non-IFRS financial measures based on underlying earnings and are not earnings guidance.

Organic Growth &Existing Initiatives

Margin Improvement Recently AcquiredBusinesses

Medium-Term Objective

5%

2%-3%

1%-2% 8%-10%

Additional opportunities through effective capital deployment

1

8

DELIVERING VALUE TO SHAREHOLDERS

1,479

1,943 1,920

2,253

2,487

1,271

1,581 1,816

2,305 2,335

2012 2013 2014 2015 2016

Operating Net Income Underlying Net Income 0% 5% 10% 15% 20% 25% 30%

TSX

S & P 500

Canadian Banks

U.S. Lifecos

Canadian Lifecos

Sun Life

* CAGR for underlying net income

(C$ MILLIONS)

T O T A L S H A R E H O L D E R R E T U R N F I V E Y E A R S A S O F

D E C E M B E R 3 1 , 2 0 1 6 (ANNUALIZED RETURN)

1 All measurements represent non-IFRS financial measures. For additional information see non-IFRS Financial Measures in our 2016 annual Management’s Discussion and Analysis.

N E T I N C O M E 1

9

BALANCED AND DIVERSIFIED BUSINESS

ASSET MANAGEMENT

28%

WEALTH 10%

INDIVIDUAL INSURANCE

31%

GROUP INSURANCE

18%

RUN-OFF 13%

SLF CANADA

35%

SLF ASIA 12%

SLF US 18%

SLF UK 7%

SLF ASSET MANAGEMENT

28%

G E O G R A P H I C D I V E R S I F I C A T I O N

2016 UNDERLYING NET INCOME

B U S I N E S S D I V E R S I F I C A T I O N

2016 UNDERLYING NET INCOME

01 No direct U.S. Variable Annuity or Long-Term

Care Exposure

02

Relatively low market risk exposure

031

243% MCCSR (SLF), $800M of Holdco cash,

23% leverage ratio

04

Strong risk management culture

05 Balanced and

diversified portfolio to deliver across cycles

1 As of December 31, 2016 pro forma $800 million subordinated debt redemption on March 2, 2017. 10

BUSINESS GROUP PERFORMANCE

Underlying net income and operating net income are Non-IFRS financial measures. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Net Income Measures” at the end of this presentation.

U N D E R L Y I N G N E T I N C O M E (C$ MILLIONS)

269

158 183

52

243

87

188

62

SLF Canada SLF U.S. SLF AssetManagement

SLF Asia

Q4 15 Q4 16

O P E R A T I N G N E T I N C O M E (C$ MILLIONS)

200 163 183

73

390

121

188

59

SLF Canada SLF U.S. SLF AssetManagement

SLF Asia

Q4 15 Q4 16

11

SLF CANADA: GROWING EARNINGS POWER

Q4’16 HIGHLIGHTS A S S E T S U N D E R M A N A G E M E N T

(C$MILLIONS)

U N D E R L Y I N G N E T I N C O M E

(C$MILLIONS)

127,

906

141,

689

152,

560

165,

252

2013 2014 2015 2016

799

823

894

887

2013 2014 2015 2016

Strong sales in Individual Insurance and Wealth and Group Retirement Services (GRS) driving new business gains

Continued investment in Individual Wealth

Extended market share leadership positions in Group Benefits (GB) and GRS

Outstanding sales in Individual Insurance Strong progress on key growth initiatives in SLGI,

Individual Wealth and Defined Benefit Solutions Significant investments made to enhance our

Client experience and advance our digital strategy

Underlying net income and operating net income and AUM are Non-IFRS financial measures. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Net Income Measures” at the end of this presentation.

2016 HIGHLIGHTS

12

SLF CANADA: NEW ENGINES ACCELERATING GROWTH AND ALREADY SEEING THE RESULTS

Client Solutions Defined Benefit

Solutions Centralized

operations

2009 2010-2013 2014

Sun Life Global Investments

Building retail wealth distribution

Quebec strategy

Brighter Way Digital initiatives

Sun GIF (Segregated Funds)

Digital Health Solutions

2015 2016

$15.6B

Sun Life Global Investments AUM

$888M

Sun GIF (Segregated Funds) sales since

launch

41%

Defined Benefit Solutions market share1

$3.2B

Client Solutions wealth sales in 2016

33% New engines

accounted for a third of VNB in 2016

13

SLF ASSET MANAGEMENT: PREMIER GLOBAL ASSET MANAGEMENT OPERATIONS

481

616

700

699

2013 2014 2015 2016

U N D E R L Y I N G N E T I N C O M E

(C$MILLIONS)

A S S E T S U N D E R M A N A G E M E N T

(C$BILLIONS)

438

501

630

625

2013 2014 2015 2016

Q4’16 HIGHLIGHTS

SUN LIFE FINANCIAL ASSET MANAGEMENT

MFS AUM C$572 billion SLIM AUM C$53 billion

MFS earnings were higher, driven by an increase in average net assets partially offset by the impact of foreign exchange

Net outflows of US$(9.5) billion at MFS Net inflows of $2.3 billion at Sun Life Investment

Management

MFS global assets under management grew to US$426 billion

Full year gross sales increased 8% to US$81.7 billion; net outflows of US$12.6 billion

Long-term fund performance remains strong Strong sales momentum at SLIM leveraged through new

capabilities and the launch of new products and funds

Note: All data as at December 31, 2016 Underlying net income and operating net income and AUM are Non-IFRS financial measures. See “Use of

Non-IFRS Financial Measures” and “”Reconciliation of Net Income Measures” at the end of this presentation.

2016 HIGHLIGHTS

14

SLF ASSET MANAGEMENT: MFS’ PATH TO NET INFLOWS

Gross Sales Redemptions* Net Flows

(US$ billions) 2016 2015 Inc/(Dec) 2016 2015 (Inc)/Dec 2016 2015 Inc/(Dec)

U.S. Retail 46.8 40.8 6.0 (45.1) (38.8) (6.3) 1.7 2.1 (0.4)

Non-U.S. Retail 11.6 14.6 (3.0) (13.8) (11.2) (2.6) (2.3) 3.4 (5.7)

Managed** 23.3 20.4 2.9 (35.4) (41.5) 6.1 (12.0) (21.1) 9.1

Total 81.7 75.8 5.9 (94.3) (91.5) (2.8) (12.6) (15.7) 3.1

* Includes Net Exchanges **Includes both Institutional and Insurance products

U.S. retail remains relatively strong

while the improvement in

managed funds has been muted by the slowdown in non-

U.S. retail

Normalization of Retail Redemption Rates Non-U.S. Retail Sales back to pre-Brexit Levels Growth of Institutional Sales: Blended Research; Fixed Income Capacity Management

2 Year View on Net Flows

15

SLF ASSET MANAGEMENT: SUNLIFE INVESTMENT MANAGEMENT WELL POSITIONED FOR GROWTH

$ 1 0 0 b i l l i o n o f A U M a n d 2 0 + % o p e r a t i n g m a r g i n b y 2 0 2 0

Ta r g e t

• Institutional demand for liability-driven investing, alternative fixed income and real estate is strong and growing

• Sun Life Investment Management is well-positioned to capitalize on trends to increase AUM and expand margins

• Leveraging capabilities across the Sun Life Investment Management group of companies to accelerate growth

• Sun Life is recognized as a good owner of asset managers

16

SLF U.S.: STRONG CONTRIBUTION TO FUTURE EARNINGS

282

240

341

339

2013 2014 2015 2016

S L F U . S . U N D E R L Y I N G N E T I N C O M E

(US$MILLIONS)

Q4’16 HIGHLIGHTS Favourable investing activity and credit experience Unfavourable morbidity experience in Group and

mortality experience in In-force Management

Integration of U.S. employee benefits business progressing well, and acquisition objectives for the year have been achieved

Strong sales in Group Benefits and continued focus on profitability improvement

Full year International sales grew 16% from prior year

Underlying net income and operating net income are Non-IFRS financial measures. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Net Income Measures” at the end of this presentation.

2016 HIGHLIGHTS

17

SLF U.S.: UNIQUELY BROAD PRODUCT PORTFOLIO AND CAPABILITES IN GROUP BENEFITS

STOP-LOSS DISABILITY LIFE DENTAL & VISION

VOLUNTARY/ WORK SITE

Extensive market data and largest

dedicated Underwriting, Actuarial and

Distribution teams

SUN LIFE CAPABILITIES

Cross Selling ~ One-Stop Shopping ~ Increased Visibility

1 Netminder, December 2016

Total absence management

portfolio driven by “Work is healthy”

philosophy

Client centric enrollment and

claims processes

#2 largest dental PPO network1 in

U.S. with full product spectrum

Extensive array of products and

leading enrollment and

communications tools

18

SLF ASIA: GROWING OUR ASIA BUSINESS

(1) Sales for joint ventures are based on proportionate equity interest.

Q4’16 HIGHLIGHTS U N D E R L Y I N G N E T I N C O M E

(C$MILLIONS)

I N D I V I D U A L L I F E A N D H E A L T H

I N S U R A N C E S A L E S 1

(C$MILLIONS)

373

422

488

628

2013 2014 2015 2016

123

174

252

295

2013 2014 2015 2016

Business growth across the region Higher levels of investment in projects and

initiatives

Individual insurance and wealth sales increased by 29% and 25% respectively, driven by growth in most markets and increased ownership

Announced five acquisitions and buy-ups and deployed approximately $500 million to build scale and strengthening our footprint in region

Underlying net income and operating net income and Sales are Non-IFRS financial measures. See “Use of Non-IFRS Financial Measures” and “Reconciliation of Net Income Measures” at the end of this presentation.

2016 HIGHLIGHTS

19

SLF ASIA MARKET PRESENCE

Vietnam Since 20121

Acquired full ownership of PVI Sun Life in 2016 and rebranded to Sun Life Vietnam

260 employees 3,000 advisors

Since 1999 Partnership with

Aditya Birla Group Insurance and Asset

Management 8,620 employees 68,000 advisors

1 The joint venture received its license to operate in January 2013. 2 Acquisition of the joint venture was completed in April 2013. 3 Based on third party assets under administration as at 2016 year end – The Gadbury Report of MPF Market Shares 2016. * Employee and advisor headcount as at December, 2016

Since 20132

Joint venture with Khazanah Nasional Berhad

Exclusive Bancassurance partnership with CIMB Bank

Life and Takaful business 510 employees

Since 2002 Partnership with the China

Everbright Group Insurance Asset Management

Company established in 2012 2,250 employees 2,500 advisors

Hong Kong Since 1892 730 employees 1,900 advisors

Wholly owned Third Party Pensions Administrator (TPA)

Ranked #1 in TPA3

Indonesia Since 1995 540 employees 10,000 advisors Acquired full ownership of PT CIMB Sun Life in

2016 and deepened partnership with CIMB Group through an extended bancassurance arrangement

Philippines Since 1895 1,600 employees 9,000 advisors

Since 2011 Partnership with the Yuchengco

Group of Companies 550 employees

20

C A P I T A L M A N A G E M E N T

1 Net capital generation is based on 200% MCCSR.

STRONG CAPITAL GENERATION WITH BALANCED APPROACH TO DEPLOYMENT

Sun Life Assurance Company of Canada 2016

Standard & Poor’s AA-(2)

Moody’s Aa3

A.M. Best A+

DBRS AA(low)

F I N A N C I A L S T R E N G T H R A T I N G

2.0

2.7 2.5

0.3

Organic Dividends Acquisitions ShareRepurchases

SLF Canada

SLF UK

SLF Asia

SLF AM

SLF US

E X P E C T E D A N N U A L C A P I T A L G E N E R A T I O N

C A P I T A L D E P L O Y M E N T ( 2 0 1 4 - 2 0 1 6 )

Net capital generation of $700 million per annum1

(C$ billions)

2 On March 13, 2016 S&P revised outlook to Positive from Stable. 22

STRONG CAPITAL ADEQUACY AND FLEXIBLE BALANCE SHEET

250% 250% 243%

217%

240%

226%

2014 2015 2016

M C C S R R A T I O S ( 1 )

1,827

990 816

2014 2015 2016

H O L D I N G C O M P A N Y C A S H ( 1 )

24%

22% 23%

2014 2015 2016

L E V E R A G E R A T I O ( 1 )

Minimum Cash Target Target Leverage Ratio

Upper Range of Target

(C$ millions)

1 As of December 31, 2016 pro forma $800 million subordinated debt redemption on March 2, 2017. 23

CAPITAL MODEL

SLA

SLF

Canada

Capitalized to meet local capital rules

Book value excl. from MCCSR

$0.8 billion cash at Holding Company(1)

MCCSR of 226%

Sun Life Investment

Management

SLF Asset Management

MFS

U.K Asia U.S. Branch Bermuda

Outstanding First CallCoupon Balance Date

CLI Series 2 Sub Debenture 6.30% $150 15-May-28

$150Innovative Tier 1 SecuritiesSLEECS Series B 7.09% $200 30-Jun-32SLEECS Series 2009-1 5.86% $498 31-Dec-19

$698

SLA - External Capital Securities

Subordinated Debt

(1) As of December 31, 2016 pro forma $800 million subordinated debt redeemed on March 2, 2017

Outstanding First CallCoupon Balance Date

SLF T2B (Series 2007-1) 5.40% $398 29-May-37SLF T2B (Series 2008-1) 5.59% $400 30-Jan-18SLF T2B (Series 2014-1) 2.77% $249 13-May-19SLF T2B (Series 2015-1) 2.60% $497 25-Sep-20SLF T2B (Series 2016-1) 3.10% $348 19-Feb-21SLF T2B (Series 2016-2) 3.05% $995 19-Sep-23

$2,887

Preferred Shareholders' Equity

SLF Series 1 4.75% $394 31-Mar-14SLF Series 2 4.80% $318 30-Sep-14SLF Series 3 4.45% $245 31-Mar-15SLF Series 4 4.45% $293 31-Dec-15SLF Series 5 4.50% $245 31-Mar-16SLF Class A, Series 8R 2.28% $127 30-Jun-20SLF Class A, Series 9QR Floating $147 30-Jun-20SLF Class A, Series 10R 2.84% $169 30-Sep-21SLF Class A, Series 11QR Floating $26 30-Sep-21SLF Class A, Series 12R 3.81% $293 31-Dec-16

$2,257

SLF - External Capital Securities(1)

Subordinated Debt

MCCSR 243%(1) Leverage 23%(1) Leverage Capacity to 25/30%: ~$0.7/$2.6B(1)

24

OPERATING AND FINANCIAL LEVERAGE

Operating Leverage

Tier 2

Tier 1

Tier 1

Operating Leverage Debt (C$ millions) Q4 2016(1)

Debt supporting reserve financing

Senior Debt 599

Bilateral Senior Financing(2) 2,034

Total Operating Leverage Debt $2,633

Capital (C$ millions) Q4 2016(1)

Subordinated Debt $3,037

SLEECS (Innovative Tier 1 Securities) 698

Preferred Shareholders’ Equity 2,257

Total Capital Securities 5,992

Common Shareholders’ Equity and Par(3) 20,111

Total Capital $26,902

Financial Leverage, % 23.0%

(1) As of December 31, 2016 pro forma $800 million subordinated debt redeemed on March 2, 2017. (2) As of December 31, 2016 as disclosed in SLF Inc.’s 2016 Financial Statements. (3) Participating policyholders’ equity and non-controlling interest.

25

A S S E T P O R T F O L I O

HIGH QUALITY, WELL DIVERSIFIED INVESTMENT PORTFOLIO

Cash and Cash

Equivalents 6%

Debt Securities

51%

Mortgages and Loans

28%

Equities 4%

Real Estate

5%

Policy Loans and

Other 6%

INVESTED ASSETS

AAA 18%

AA 19%

A 33%

BBB 28%

BB and Lower

2%

DEBT SECURITIES BY RATING

98% Investment

Grade

$142.4 billion

COMPETITIVE ADVANTAGES

Leading non-public portfolio with significant origination capabilities

Strengthened real estate and commercial mortgage capabilities with Bentall Kennedy acquisition

Deep credit research resulting in strong credit experience

As of December 31, 2016

27

A P P E N D I X

SUSTAINABLE, HEALTHIER COMMUNITIES FOR LIFE

Sun Life has been named one of 12 Canadian companies and the only North American life insurer to be included in the Standard & Poor’s Long Term Value Creation Global Index. The new index is comprised of approximately 250 stocks that have the potential to create long-term value based on sustainability criteria and financial quality.

Sun Life Financial is one of 2016 Global 100 Most Sustainable Corporations in the World, as selected by Corporate Knights. Sun Life is one of nine Canadian companies across all sectors, and the top-ranked North American insurance company to make the 2016 Global 100.

For the eighth year in a row, Sun Life has received the Reader’s Digest Most Trust BrandTM award. Since the inception of the Reader’s Digest Most Trust BrandTM

award, Canadians have voted for Sun Life in the Life Insurance Company category, which gives us Gold Winner status.

Sun Life was ranked in the top ten in The Globe and Mail Report on Business’ 2016 Board Games. The report examined the board of directors of 234 companies and income trusts in the S&P/TSX composite index as of Sept. 1, 2016, to assess the quality of their governance practices

Sun Life has been recognized with the 2015 Ethical Boardroom Best Corporate Governance – Financial Services – North American award for our dedication and enduring efforts in fostering good corporate governance practices and ethnical behaviour in our operations.

In 2015, Corporate Knights magazine once again included Sun Life on its list of the Best 50 Corporate Citizens in Canada. The 2015 edition ranks Sun Life at 11 overall, up from 22 last year, and ahead of all the other large financial institutions.

FTSE4Good is an equity index series designed to measure the performance of companies demonstrating strong environmental, social and governance practices. Sun Life continues to satisfy the stringent criteria required to become an Index constituent. Sun Life has been included in the FTSE4Good Index since its inception.

For the ninth year in a row, Sun Life has been recognized in the Dow Jones Sustainability Index North America. In 2015, Sun Life achieved industry best scores in the categories of Corporate Governance and Risk Detection.

GLOBAL 100 MOST SUSTAINABLE CORPORATIONS IN THE WORLD, CORPORATE KNIGHTS and BEST 50 CORPORATE CITIZENS IN CANADA are trade-marks of Corporate Knights, Inc. TRUSTED BRANDTM is a registered trade-mark of Reader’s Digest Association Canada ULC. FTSE® and FTSS4GOOD® are trade-marks on the London Stock Exchange Group of Companies. DOW JONES is registered trade-mark of Dow Jones Trademark Holdings, LLC

In December 2014, Sun Life Assurance Company of Canada became the first major Canadian life insurer to sign on to the United Nations supported Principles for Responsible Investment (PRI). Becoming a PRI signatory begins a process to formally integrate environmental, social and governance (ESG) risk factors to our investment underwriting and ongoing monitoring processes.

29

ADVANCING SUSTAINABILITY IN FOUR KEY AREAS

30

Forward-looking statements Certain statements in this Presentation prepared for Investors include material from Sun Life Financial Earning Conference Call held on February 16, 2017 and the Sun Life Financial Investor Day 2017 held on March 9, 2017 (collectively, the y represent “Investor Presentation”), including, but not limited to, statements relating to the medium-term financial objectives (the “financial objectives”) of Sun life Financial Inc. (the “Company”), and other statements that are not historical facts, are forward-looking and are subject to inherent risks, uncertainties and assumptions. The results or events predicted in these forward-looking statements may differ materially from actual results or events and we cannot guarantee that any forward-looking statement will materialize. The forward-looking statements are made as of March 9, 2017. Except as may be required by Canadian securities laws, we do not undertake any obligation to update or revise any forward-looking statements made in the Investor Day presentations. Non-IFRS Financial Measures The Company prepares its financial statements in accordance with international financial reporting standards (“IFRS”). The Investor Day presentations include financial measures that are not based on IFRS (“non-IFRS financial measures”). The Company believes that these non-IFRS financial measures provide information that is useful to investors in understanding the Company’s performance and facilitate a comparison of the quarterly and full year results of the Company’s ongoing operations. These non-IFRS financial measures do not have any standardized meaning, may not be comparable with similar measures used by other companies and should not be viewed as an alternative to measures of financial performance determined in accordance with IFRS. Operating net income (loss), operating earnings per share (“EPS”), operating return on equity (“ROE”), operating profit margin, underlying net income (loss), underlying EPS, underlying ROE, sales, adjusted premiums and deposits, assets under management (“AUM”), average net assets (“ANA”), assets under administration (“AUA”), business in-force (“BIF”), sources of earnings measures (expected profit, new business strain, experience gains (losses), assumption changes and management actions and earnings on surplus) and value of new business (“VNB”) are non-IFRS financial measures. Results for 2012 and 2013 are based on Continuing Operations. Financial Objectives The financial objectives referred to in the Investor Day presentations are forward-looking non-IFRS financial measures and are not guidance. Additional Information Additional information concerning forward-looking statements, non-IFRS financial measures and the Company’s financial objectives is included in the slides entitled “Forward Looking Statements and Non-IFRS Financial Measures” which is included in the Appendix to Investor Day presentations.

31

Forward-Looking Statements Certain statements made in the Investor Day Presentations are forward-looking and include, but are not limited to statements relating to our growth strategies and initiatives, medium-term financial objectives, strategic goals, productivity and expense initiatives and other business objectives; and other statements that are not historical or are predictive in nature or that depend upon or refer to future events or conditions. Forward-looking statements may also include words such as "aim", "anticipate", "assumption", "believe", "could", "estimate", "expect", "goal", "intend", "may", "objective", "outlook", "plan", "project", "seek", "should", "initiatives", "strategy", "strive", "target", "will" and similar expressions. All such forward-looking statements are made pursuant to the "safe harbour provisions" of applicable Canadian securities laws and of the United States Private Securities Litigation Reform Act of 1995. The forward-looking statements made in the Investor Day presentations are stated as at March 9, 2017 and represent our current expectations, estimates and projections regarding future events and are not statements of historical facts. These forward-looking statements are not a guarantee of future performance and involve inherent risks and uncertainties and are based on key factors and assumptions, all of which are difficult to predict. Future results and shareholder value may differ materially from those expressed in forward-looking statements due to, among other factors: • the assumptions and other factors set out in the Investor Day presentations; • the matters set out in the Company's 2016 annual management's discussion and analysis under Critical Accounting Policies and Estimates and Risk Management; • the risk factors set out in the Company's annual information form for the year ended December 31, 2016 under Risk Factors; and • other factors detailed in the Company's annual and interim financial statements and any other filings with Canadian and U.S. securities regulators made available at www.sedar.com and www.sec.gov. By their very nature, forward-looking statements are subject to inherent risks and uncertainties and are based on several assumptions, both general and specific, which give rise to the possibility that actual results or events could differ materially from our expectations expressed in or implied by such forward-looking statements. As a result, we cannot guarantee that any forward-looking statement will materialize and undue reliance should not be placed on these forward-looking statements. The forward-looking statements contained in the Investor Day presentations describe our expectations, estimates and projected future events at March 9, 2017. Except as may be required by Canadian securities laws, we do not undertake any obligation to update or revise any forward-looking statements contained in the Investor Day presentations. The forward-looking statements do not reflect the potential impact of any non-recurring or other special items or of any dispositions, mergers, acquisitions, other business combinations or other transactions that may be announced or that may occur after March 9, 2017. Forward-looking statements are presented to assist investors and others in understanding our expected financial position and results of operations as at March 9, 2017, as well as our objectives, strategic priorities and business outlook, and in obtaining a better understanding of our anticipated operating environment. Readers are cautioned that such forward-looking statements may not be appropriate for other purposes.

Reconciliation of Net Income Measures 2016 2015 2014 2013 2012 Q4’16 Q3’16 Q4’15 Common shareholders' reported net income (loss) 2,485 2,185 1,762 1,696 1,374 728 737 536 Impact of certain hedges that do not qualify for hedge accounting (5) 21 (7) 38 (7) 8 6 10 Fair value adjustments on share-based payment awards at MFS 30 (9) (125) (229) (94) 10 (7) (6) Acquisition, integration and restructuring (includes ACMA in 2013 related to the sale of U.S. Variable Annuity business) (27) (80) (26) (56) (4) (22) (12) (66) Common Shareholders' operating net income (loss) 2,487 2,253 1,920 1,943 1,479 732 750 598 Net equity market impact 51 (128) 44 76 104 26 29 (4) Net interest rate impact 34 65 (179) 86 (214) 130 18 (35) Net increases (decrease) in the fair value of real estate 22 20 12 30 62 6 10 3 Assumption changes and management actions / other items 45 (9) 227 170 256 10 54 (12) Common shareholders' underlying net income (loss) 2,335 2,305 1,816 1,581 1,271 560 639 646

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In this Investor Presentation, Sun Life Financial Inc. and its subsidiaries, joint ventures and associates are referred to as “we”, “us”, “our” and the “Company”. Use of Non-IFRS Financial Measures We report certain financial information using non-IFRS financial measures, as we believe that these measures provide information that is useful to investors in understanding our performance and facilitate a comparison of our quarterly and full year results from period to period. These non-IFRS financial measures do not have any standardized meaning and may not be comparable with similar measures used by other companies. For certain non-IFRS financial measures, there are no directly comparable amounts under IFRS. These non-IFRS financial measures should not be viewed as alternatives to measures of financial performance determined in accordance with IFRS. Additional information concerning these non-IFRS financial measures and reconciliations to the closest IFRS measures are included in the Supplementary Financial Information packages that are available on www.sunlife.com under Investors – Financial results & reports. Operating net income (loss) and financial measures based on operating net income (loss), consisting of operating EPS or operating loss per share, and operating ROE, are non-IFRS financial measures. Operating net income (loss) excludes from reported net income the impact of the following amounts that when adjusted, enable our investors to better assess the underlying performance of our businesses: (i) certain hedges in SLF Canada that do not qualify for hedge accounting - this adjustment enhances the comparability of our net income from period to period, as it reduces volatility to the extent it will be offset over the duration of the hedges; (ii) fair value adjustments on MFS's share-based payment awards, that are settled with MFS’s own shares and accounted for as liabilities and measured at fair value each reporting period until they are vested, exercised and repurchased - this adjustment enhances the comparability of MFS’s results with publicly traded asset managers in the United States; (iii) acquisition, integration and restructuring amounts (including impacts related to acquiring and integrating acquisitions); (iv) goodwill and intangible asset impairment charges; and (v) other items that are not operational or ongoing in nature (e.g., gain or loss on disposal of businesses). Operating EPS also excludes the dilutive impact of convertible instruments. Underlying net income (loss) and financial measures based on underlying net income (loss), consisting of underlying EPS or underlying loss per share, and underlying ROE, are non-IFRS financial measures. Underlying net income (loss) removes from operating net income (loss) the impact of the following items that create volatility in our results under IFRS, and when removed assist in explaining our results from period to period: (a) market related impacts; (b) assumption changes and management actions; and (c) other items that have not been treated as adjustments to operating net income, and when removed assist in explaining our results from period to period. Market related impacts include: (i) the impact of changes in interest rates that differ from our best estimate assumptions in the reporting period and the value of derivative instruments used in our hedging programs, including changes in credit and swap spreads, and any changes to the assumed fixed income reinvestment rates in determining the actuarial liabilities; (ii) the impact of returns in equity markets, net of hedging, above or below our best estimate assumptions of approximately 2% per quarter in the reporting period and of basis risk inherent in our hedging program for products that provide benefit guarantees; and (iii) the impact of changes in the fair value of real estate properties in the reporting period. Assumption changes reflect the impact of revisions to the assumptions used in determining our liabilities for insurance contracts and investment contracts. The impact for insurance contracts and investment contracts of actions taken by management in the current reporting period, referred to as management actions include, for example, changes in the prices of in-force products, new or revised reinsurance on inforce business, and material changes to investment policies for assets supporting our liabilities. Underlying EPS also excludes the dilutive impact of convertible instruments. Management also uses the following non-IFRS financial measures: 1. Return on equity. IFRS does not prescribe the calculation of ROE and therefore a comparable measure under IFRS is not available. To determine reported ROE, operating ROE and underlying ROE,

respectively, reported net income (loss), operating net income (loss) and underlying net income (loss) are divided by the total weighted average common shareholders’ equity for the period. 2. Adjusted revenue. This measure is an alternative measure of revenue that provides greater comparability across reporting periods, by excluding the impact of: (i) exchange rate fluctuations, from the translation

of functional currencies to the Canadian dollar, for comparisons (“Constant Currency Adjustment”); (ii) Fair value and foreign currency changes on assets and liabilities (“FV Adjustment”); and (iii) reinsurance for the insured business in SLF Canada’s GB operations (“Reinsurance in SLF Canada’s GB Operations Adjustment”).

3. MFS pre-tax operating profit margin ratio. This ratio is a measure of the profitability of MFS, which excludes the impact of fair value adjustments on MFS's share-based payment awards, investment income, and certain commission expenses that are offsetting. These amounts are excluded in order to neutralize the impact these items have on the pre-tax operating profit margin ratio and have no impact on the profitability of MFS. There is no directly comparable IFRS measure.

4. Impact of foreign exchange. Several financial measures are presented on a constant currency adjusted basis to exclude the impact of foreign exchange rate fluctuations. These measures are calculated using the average or period end foreign exchange rates, as appropriate, in effect at the date of the comparative period.

5. Other. Management also uses the following non-IFRS financial measures for which there are no comparable financial measures in IFRS: (i) ASO premium and deposit equivalents, mutual fund sales, managed fund sales, life and health sales, and total premiums and deposits; (ii) AUM, mutual fund assets, managed fund assets, other AUM and assets under administration; (iii) effective income tax rates on an operating net income and underlying net income basis; (iv) the value of new business (“VNB), which is used to measure the estimated lifetime profitability of new sales and is based on actuarial calculations; and (v) Sources of earnings is an alternative presentation of our Consolidated Statements of Operations that identifies and quantifies various sources of income. The Company is required to disclose its sources of earnings by its principal regulator, OSFI; (vi) dividend payout based on underlying net income.

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Material Assumptions and Risk Factors The Company’s medium-term financial objectives are forward looking non-IFRS financial measures and do not constitute guidance. Our ability to achieve those objectives is dependent on the Company’s success in achieving the growth initiatives, business objectives and productivity and expense targets that will be described in the Investor Day presentations and on certain other key assumptions that include:

1. no significant changes in the level of interest rates; 2. average total equity market return of approximately 8% per annum; 3. credit experience in line with best estimate actuarial assumptions; 4. no significant changes in the level of our regulatory capital requirements; 5. no significant changes to our effective tax rate; 6. no significant change in the number of shares outstanding; 7. other key assumptions include: no material changes to our hedging program, hedging costs that are consistent with our best estimate assumptions, no material assumption changes including updates to the

economic scenario generator and no material accounting standard changes, and 8. our best estimate actuarial assumptions used in determining our insurance and investment contract liabilities. Our medium-term financial objectives are also based on best estimate actuarial assumptions as at December 31, 2016. Our underlying ROE is dependent upon capital levels and options for deployment of excess capital. Our objectives do not reflect the indirect effects of interest rate and equity market movements including the potential impacts on goodwill or the current valuation allowance on deferred tax assets as well as other items that may be non-operational in nature. Important risk factors that could cause our assumptions and estimates, and expectations and projections in the Investor Day Presentations to be inaccurate and our actual results or events to differ materially from those expressed in or implied by forward-looking statements, including our medium-term financial objectives are set out below. The realization of our forward-looking statements, including our ability to meet our medium-term financial objectives, essentially depends on our business performance which, in turn, is subject to many risks. Factors that could cause actual results to differ materially from expectations include, but are not limited to: credit risks - related to issuers of securities held in our investment portfolio, debtors, structured securities, reinsurers, counterparties, other financial institutions and other entities; market risks - related to the performance of equity markets; changes or volatility in interest rates or credit spreads or swap spreads; real estate investments; and fluctuations in foreign currency exchange rates; insurance risks - related to mortality, morbidity, longevity and policyholder behaviour; product design and pricing; the impact of higher-than-expected future expenses; and the availability, cost and effectiveness of reinsurance; business and strategic risks - related to global economic and political conditions; changes in distribution channels or Client behaviour including risks relating to market conduct by intermediaries and agents; the impact of competition; the design and implementation of business strategies; changes in the legal or regulatory environment, including capital requirements and tax laws; tax matters, including estimates and judgments used in calculating taxes; the performance of our investments and investment portfolios managed for Clients such as segregated and mutual funds; our international operations, including our joint ventures; market conditions that affect our capital position or ability to raise capital; downgrades in financial strength or credit ratings; and the impact of mergers, acquisitions and divestitures; operational risks - related to breaches or failure of information system security and privacy, including cyber-attacks; our ability to attract and retain employees; the execution and integration of mergers, acquisitions and divestitures; legal, regulatory compliance and market conduct, including the impact of regulatory inquiries and investigations; our information technology infrastructure; a failure of information systems and Internet-enabled technology; dependence on third-party relationships, including outsourcing arrangements; business continuity; model errors; information management; the environment, environmental laws and regulations and third-party policies; and liquidity risks – the possibility that we will not be able to fund all cash outflow commitments as they fall due.

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